Economic forecasters are warning that the combination of rapidly rising fuel prices, and the costs incurred by airlines because of this months volcanic cloud crisis, could mean a drastic hike in the price of airline tickets. Over the next three years this could be as much as 3.83 per cent.

Figures released by the Centre for Economics and Business Research, suggest that the cost to airlines of the grounding of aircraft due to the volcanic eruption in Iceland, is around £1.3 billion. This figure, when added to a year-on-year rise in the price of airline fuel for the first three months of 74 per cent, will almost certainly see airlines putting up their ticket prices.

On top of this, many airlines are still struggling to cope with the devastating results of the global economic downturn. The CEBR warns that ticket prices could rise by 5.2 per cent. This would equate to £31 being added to the price of a trip to New York in economy class with British Airways. An economy BA flight to Italy would go up by £12.

The CEBR report also suggests that 2.9 percent could be added to air fares in 2011, and a further 3.4 per cent added in 2012.

Managing director of Kelkoo in the UK, Bruce Fair, for whom the report was compiled, said that the latest disruption, added to the effects of recession and the volatile price of oil, meant that carriers would have little choice but to hand on rising costs to the consumer.